Section 37A

under a contract with a person who —

belongs in a country outside Singapore and is not a registered person; or

is a registered (Seventh Schedule — pay only) person,(called in this section an overseas person); and

which directly benefits a person who —

belongs in a country outside Singapore and is not a registered person; or

is a registered (Seventh Schedule — pay only) person,(called in this section an overseas person),to be disregarded for the purposes of this Act (other than for the purposes of section 27(2)(a)) subject to such conditions or restrictions as may be prescribed or as the Comptroller may impose for the protection of the revenue.

for the goods —

to be delivered to the satisfaction of the Comptroller only to —

any taxable person approved by the Comptroller; or

the customer of an overseas person to whom the overseas person supplies the goods;

to be exported to the satisfaction of the Comptroller; or

if the goods are of such type or description as may be prescribed, to be destroyed or disposed of to the satisfaction of the Comptroller by the taxable person or any other person,and, where any taxable person (including a taxable person referred to in subsection (1)) fails to do so, for the taxable person to pay to the Comptroller an amount equal to the tax that would have been payable if the taxable person had himself, herself or itself made a supply of the goods in the course or furtherance of the taxable person’s business;

for a taxable person approved by the Comptroller who receives the goods from another approved person to declare, in such form and manner as the Comptroller may require, the taxable person’s receipt of those goods;

where a taxable person approved by the Comptroller, to the satisfaction of the Comptroller —

delivers the goods to the customer of the overseas person referred to in paragraph (a)(i)(B); or

in relation to such of those goods which are of such type or description as may be prescribed, destroys or disposes of the goods or delivers them to another person for the destruction or disposal, in circumstances where consideration for the goods is received by the taxable person or the overseas person upon the destruction or disposal,for the taxable person to account for and pay tax in substitution for the overseas person, as if the taxable person had himself, herself or itself supplied the goods in the course or furtherance of the taxable person’s business.

supplied to the overseas person in Singapore; and

delivered to the taxable person approved by the Comptroller for the purposes of any process being applied to or carried out on the goods under a contract with and directly benefitting the overseas person,the goods are treated as having been supplied to the taxable person in the course or furtherance of the taxable person’s business for the purpose of the taxable person claiming input tax on the supply of the goods under section 19 as if the whole of the input tax were allowable under section 20.

the tax on such supply is to be accounted for by the taxable person approved by the Comptroller pursuant to subsection (2)(c); or

in a case where a taxable person has applied to be but is not yet approved by the Comptroller, the tax on such supply would be accounted for by the taxable person pursuant to subsection (2)(c) if the taxable person were to be so approved,as the case may be.